ccess to foreign markets. Portugal's last overseas territory, Macau, was not handed over to the People's Republic of China (PRC) until 1999, under the 1987 joint declaration that set the terms for Macau's handover from Portugal to the PRC. In 2002, the independence of East Timor (Asia) was formally recognized by Portugal, after an incomplete decolonization process that was started in 1975 because of the Carnation Revolution.
On 26 March 1995, Portugal started to implement Schengen Area rules, eliminating border controls with other Schengen members while simultaneously strengthening border controls with non-member states. In 1996 the country was a co-founder of the Community of Portuguese Language Countries (CPLP) headquartered in Lisbon. Expo '98 took place in Portugal and in 1999 it was one of the founding countries of the euro and the Eurozone.
On 5 July 2004, José Manuel Barroso, then Prime Minister of Portugal, was nominated President of the European Commission, the most powerful office in the European Union. On 1 December 2009, the Treaty of Lisbon entered into force, after had been signed by the European Union member states on 13 December 2007 in the Jerónimos Monastery, in Lisbon, enhancing the efficiency and democratic legitimacy of the Union and improving the coherence of its action.
Economic disruption and an unsustainable government debt in the wake of the late-2000s financial crisis, led the country to negotiate in 2011 with the IMF and the European Union, through the European Financial Stability Mechanism (EFSM) and the European Financial Stability Facility (EFSF), a loan to help the country stabilise its finances
